Characteristics Analysis of Adobe’s Corporate-Level Strategy

After doing my research I have found that Abode corporate level strategy was one that was well rounded and there was a vision for growth in the many different areas of this company. I found that upon research that Growth stood out. This strategy is when an organization expands the number of markets served or products offered, either through its current businesses or through new businesses. Because of its growth strategy, an organization may increase revenues, number of employees, or market share. Organizations grow by using concentration, vertical integration, horizontal integration, or diversification. I have also found that this company used the second type of cooperate level strategy which is renewal. This is when an organization is in trouble, something needs to be done. Managers need to develop strategies, called renewal strategies, that address declining performance. The two main types of renewal strategies are retrenchment and turnaround strategies.

The rapid growth of the mobile broadband computing industry is certain to draw new entrants with radically different technologies. Entry barriers are extremely low, and Adobe cannot underestimate the reactions and commitments of rival firms also hoping to gain leadership positions in the massive market. The development of revolutionary computing models could pose a serious threat to the hegemony of Adobe’s Flash platform. For these reasons, emerging and existing rival actions must be closely monitored to identify preemptive or retaliatory competitive behavior that will advance Adobe’s market interests.

Cloud Computing

The applications segment of cloud computing threatens to render Adobe’s premium software business model obsolete. We must be reminded that Adobe is not a SO developer or server provider, so is not able to lead the cloud computing movement. However, the company will need to prevent its software from being boxed out of the market or becoming irrelevant. This involves reinforcing its ability to anticipate rapidly evolving technologies and react to new developments. A defensive strategy is required to respond as needed to quickly change conditions and to defend and protect the company’s position. In addition, where multiplying competition exists for instance, against Microsoft and Apple. Adobe can exercise retaliatory competitive measures against rivals in markets where it has a greater advantage.

On-demand software services vary in their pricing schemes and methods of delivery to the end user. To ensure that Adobe’s software finds a place in this new seeking on-demand solutions. One possibility is a hybrid program by which the end user pays a licensing fee, but then accesses the software over the Internet from centralized servers.

Enterprise Marketing

Expansion into this business territory is well-timed and aligned with significant business technology trends and rising demand for integrated IT systems. In this very attractive market, Adobe is going to bump up against powerful and well-funded rivals like MM, who gained access to enterprise marketing software with the acquisition of Inca.

Wing to be the digital command center for business marketing departments, Adobe has followed suit with its own acquisition strategy. The company needs to proceed with an offensive strategy that draws from its internal strengths: product prestige, brand power, customer relationships, and reputation for delivering product cakes that engage the user in positive, immersion experiences. Adobe’s ability to identify unmet market needs and to set unrivaled standards for professional markets and the company’s internal culture of creativity and innovation are competitive advantages that can pay off in the effort to pursue this market. Finally, significant advantages can be realized through the company’s diversification synergies.

The ability to share or transfer the firm’s resources and capabilities across business units can enable the company to create value and exploit economies of scope between businesses. The less tangible the assets used to create value such as tacit knowledge, rather than more-obvious financial resources, the greater the potential for Adobe’s related constrained diversification strategy to expand the company’s market power without the threat of competitor imitation. Global Markets Conditions in emerging markets indicate very strong potential for growth. With 31% of current revenues earned in developing nations, Adobe has room to expand efforts in the most promising regions.

18 March 2020
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